Swedish Minister: FII Opportunity to Bolster Cooperation, Development with Africa

Sweden’s Minister for International Development Cooperation and Foreign Trade Benjamin Dousa. (Turky Al-Agili)
Sweden’s Minister for International Development Cooperation and Foreign Trade Benjamin Dousa. (Turky Al-Agili)
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Swedish Minister: FII Opportunity to Bolster Cooperation, Development with Africa

Sweden’s Minister for International Development Cooperation and Foreign Trade Benjamin Dousa. (Turky Al-Agili)
Sweden’s Minister for International Development Cooperation and Foreign Trade Benjamin Dousa. (Turky Al-Agili)

Sweden’s Minister for International Development Cooperation and Foreign Trade Benjamin Dousa stressed that the Future Investment Initiative, currently underway in Riyadh, was an ideal opportunity to bolster experiences and create a transformation in the cooperation and trade movement.

In an interview with Asharq Al-Awsat, he underlined the need to create economic integration with African countries and benefit from their natural resources to boost cooperation and sustainable development and combat poverty.

He also emphasized the importance of trade, private investment and loans to achieve sustainable development goals. No country can be removed from poverty by solely relying on development assistance, he remarked.

* What is your assessment of Saudi-Swedish relations? What are the most prominent areas of cooperation? What is the volume of trade exchange and what is the growth rate?

Saudi-Swedish relations are excellent. Saudi Arabia is an important partner for Sweden and our largest trading partner in the MENA-region. Trade and investments, with a focus on innovation and green solutions, are at the heart of our cooperation and constantly growing.

Over the last five years, Swedish exports to Saudi Arabia increased with 72% to 1.3 billion USD. To me, these figures clearly prove that Swedish companies have a lot to offer in the fast and impressive reformation of the Saudi society in line with Vision 2030. Swedish companies, such as Ericsson, Siemens Energy, Scania, Astra Zeneca and the Volvo Group, are ready to contribute with their expertise in telecom, energy, the automobile industry, and life sciences.

Swedish companies, such as Hitachi Energy and Molnlycke, see great potential in the Saudi market and have made significant investments into local manufacturing, creating new jobs, transferring knowledge and contributing to in-country investment.

* What is the nature of your participation in the Future Investment Initiative (FII) in Riyadh? What are the most important topics that interest you at this event?

The FII-conference serves as a perfect opportunity for me, as a newly appointed Swedish minister for foreign trade, to get a crash course on the Saudi market and Swedish business interests in Saudi Arabia. I especially look forward to learning more about Vision 2030 and the giga-projects, which are truly impressive. I will be speaking at a panel on economic integration in Africa. My visit to Riyadh is also an opportunity for me to meet Saudi cabinet ministers and other high ranking Saudi officials. I know that my predecessor was very pleased with his visit to FII last year.

* Is there a new project under study and research for cooperation between the two countries and what is its nature?

The cooperation between King Abdulaziz City for Science and Technology (KACST) and Ericsson is exemplary in this regard. Beyond working together on research and science, they have just announced a joint program with The Garage, a Saudi hub for innovation and entrepreneurship. The project aims to support Saudi game developers. Swedish innovators have a lot of experience to share in this field.

I would also like to highlight the third Swedish-Saudi Joint Commission that will take place in Riyadh next week. The Joint Commission is an excellent showcase of the multifaceted cooperation between Sweden and Saudi Arabia. The commission serves as a government-led platform for identification of concrete actions in support of trade and cooperation in areas ranging from export financing instruments, trade policy, healthcare, energy, tourism, to innovation and promotion of small and medium enterprises.

* What is the Swedish plan to maximize development cooperation and increase foreign trade?

Sweden is a strong proponent of free trade. I am convinced that fewer trade barriers and simplified trade procedures boost competition and productivity and reduce global value chain vulnerabilities. Unfortunately, in recent years, we have seen many countries introducing new trade barriers and export restrictions. I believe that free, sustainable, and rules-based international trade and globally accepted standards is the only way forward. Sweden’s own journey from a poor country based on farming to one of the world’s most innovative nations was only possible through international trade.

My government is changing the course of Swedish development cooperation. Sweden will continue to be major donor of both development assistance and humanitarian aid, but we are putting a much stronger emphasis on the essential link between trade and development.

Trade, private investment, loans, and domestic resource mobilization is necessary for countries to achieve the Sustainable Development Goals. No country can be lifted out of poverty with the help of development assistance alone. Swedish development cooperation should contribute to creating conditions for developing countries and for people to go from poverty to prosperity through trade and economic development.

* What is the impact of geopolitical events in the region on development cooperation, foreign trade and supply chains?

I am deeply worried by the ongoing escalation in the region. Sweden fully supports diplomatic efforts for regional de-escalation and ceasefires in Lebanon and Gaza. We greatly appreciate Saudi Arabia’s initiatives for peace and de-escalation, as exemplified by the kingdom’s efforts to, again, bring new momentum for a two-state solution.

The Houthi attacks on free trade in the Red Sea have now been impeding trade flows for over a year. Over 12 percent of the world maritime trade used to pass through the Red Sea. This is a global concern. Many Swedish businesses have been affected by delayed deliveries linked to the situation in the Red Sea. Sweden is contributing to the EU defensive military force Operation Aspides in the Red Sea, aiming at protecting vessels. The attacks on free trade must come to an end for the benefit of all.



UN's FAO: World Food Prices Fall for 3rd Month in November

FILE PHOTO: Prices of food are displayed at the Borough Market in London, Britain May 22, 2024. REUTERS/Maja Smiejkowska/File Photo
FILE PHOTO: Prices of food are displayed at the Borough Market in London, Britain May 22, 2024. REUTERS/Maja Smiejkowska/File Photo
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UN's FAO: World Food Prices Fall for 3rd Month in November

FILE PHOTO: Prices of food are displayed at the Borough Market in London, Britain May 22, 2024. REUTERS/Maja Smiejkowska/File Photo
FILE PHOTO: Prices of food are displayed at the Borough Market in London, Britain May 22, 2024. REUTERS/Maja Smiejkowska/File Photo

World food commodity prices fell for a third consecutive month in November, with all major staple foods except cereals showing a decline, the United Nations' Food and Agriculture Organization said on Friday.

The FAO Food Price Index, which tracks a basket of globally traded food commodities, averaged 125.1 points in November, down from a revised 126.6 in October and the lowest since January, Reuters reported.

The November average was also 2.1% below the year-earlier level and 21.9% down from a peak in March 2022 following Russia's full-scale invasion of Ukraine, the FAO said.

The agency's sugar price reference fell 5.9% from October to its lowest since December 2020, pressured by ample global supply expectations, while the dairy price index dropped 3.1% in a fifth consecutive monthly decline, reflecting increased milk production and export supplies.

Vegetable oil prices fell 2.6% to a five-month low, as declines for most products including palm oil outweighed strength in soy oil.

Meat prices declined 0.8%, with pork and poultry leading the decrease, while beef quotations stabilized as the removal of US tariffs on beef imports tempered recent strength, the FAO said.

In contrast, the FAO's cereal price benchmark rose 1.8% month-on-month. Wheat prices increased due to potential demand from China and geopolitical tensions in the Black Sea region, while maize prices were supported by demand for Brazilian exports and reports of weather disruption to field work in South America.

In a separate cereal supply and demand report, the FAO raised its global cereal production forecast for 2025 to a record 3.003 billion metric tons, compared with 2.990 billion tons projected last month, mainly due to increased wheat output estimates.

Forecast world cereal stocks at the end of the 2025/26 season were also revised up to a record 925.5 million tons, reflecting expectations of expanded wheat stocks in China and India as well as higher coarse grain stocks in exporting countries, the FAO said.


World Bank Forecasts 4.3% Growth for Saudi Economy, Supported by Non-Oil Activities

The Saudi flag. Asharq Al-Awsat
The Saudi flag. Asharq Al-Awsat
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World Bank Forecasts 4.3% Growth for Saudi Economy, Supported by Non-Oil Activities

The Saudi flag. Asharq Al-Awsat
The Saudi flag. Asharq Al-Awsat

The World Bank affirmed on Thursday that Saudi Arabia's economy has gained significant momentum for 2026-2027, driven by robust non-oil sector expansion under Vision 2030.

In a report titled “The Gulf’s Digital Transformation: A Powerful Engine for Economic Diversification,” the World Bank said growth is expected to persist in the Kingdom with non-oil activities expanding by 4% on average.

The report lifted its forecast for Saudi Arabia’s real GDP growth to 3.8% in 2025 compared to a 3.2% last October.

The forecast represents a major upward revision affirming the resilience of the Saudi economy and its ability to absorb external volatility. It also indicates growing confidence in the effectiveness of ongoing structural reforms within Vision 2030.

On Tuesday, Saudi Arabia approved its state budget for 2026, projecting real GDP growth of 4.6% in 2026.

The report showed that in the Kingdom, economic momentum is strengthening across oil and non-oil sectors with non-oil activities expanding by 4% on average and oil activities expanding by 5.4%, bringing overall real growth to an average of 4.3%.

It said oil activities grew by 1.7% y/y in the first half of 2025, benefiting from the phase-out of OPEC+ voluntary production cuts starting in April 2025.

At the financial level, the fiscal deficit between 2025 and 2027 is projected to remain at an average of 3.8% of GDP.

Meanwhile, the current account balance slightly recovered, settling at 0.5% of GDP in the first quarter of 2025 against -2.6% in the second half of 2024.

The report said real GDP growth remained stable at 3.6% y/y in the first half of 2025, thanks to the stabilization of the oil sector and sustained non-oil growth.

Non-oil activities expanded by 4.8% over the period, in line with the performance of 2024 while non-oil growth was driven by the wholesale, retail trade, restaurants, and hotels sector (+7.5% y/y in the first half of 2025), consolidating the role of hospitality and tourism as engines of economic diversification.

The report also indicated that oil activities grew by 1.7% y/y in the first half of 2025, benefiting from the phase-out of OPEC+ voluntary production cuts starting in April 2025.

These trends are expected to persist in 2026-2027, with non-oil activities expanding by 4% on average and oil activities expanding by 5.4%, bringing overall real growth to an average of 4.3%.

Job Market and Inflation
The report said the labor market mirrors the stabilization of the real economy and is rapidly becoming more inclusive to women.

Overall unemployment decreased by 0.7 point between the first quarter of 2024 and the first quarter of 2025, with the female unemployment rate dropping from 11.8% to 8.1% over the same period.

Also, inflation remained low and stable in Saudi Arabia, settling at an average of 2.2% in the first half of 2025.

However, price increases have been concentrated in the housing and utilities sector as rental prices have become a key issue, largely because rental supply has failed to match demographic growth, especially in Riyadh.

While this reflects the government’s efforts to dynamize the Kingdom’s urban centers, the price increases prompted the government to freeze rental prices in Riyadh for the next five years, as anticipated increases in housing supply should help control rental prices.

Finally, the report said Saudi Arabia’s external position stabilized in the second half of 2024 and the first quarter of 2025.

Although net foreign direct investment has remained relatively stable, the World Bank has emphasized that recent changes in foreign ownership regulations in Saudi Arabia, coupled with continued structural reforms, are positive steps to attract greater flows of foreign direct investment (FDI).


Visa Relocates European Headquarters to London's Canary Wharf

FILE PHOTO: A drone view of London's Canary Wharf financial district, two days before the government presents its critical pre-election budget, in London, Britain March 3, 2024. REUTERS/Yann Tessier/File Photo
FILE PHOTO: A drone view of London's Canary Wharf financial district, two days before the government presents its critical pre-election budget, in London, Britain March 3, 2024. REUTERS/Yann Tessier/File Photo
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Visa Relocates European Headquarters to London's Canary Wharf

FILE PHOTO: A drone view of London's Canary Wharf financial district, two days before the government presents its critical pre-election budget, in London, Britain March 3, 2024. REUTERS/Yann Tessier/File Photo
FILE PHOTO: A drone view of London's Canary Wharf financial district, two days before the government presents its critical pre-election budget, in London, Britain March 3, 2024. REUTERS/Yann Tessier/File Photo

Visa is relocating its European headquarters to London's Canary Wharf financial district, the Canary Wharf Group said on Friday.

The firm is leasing 300,000 square feet on a 15-year term at One Canada Square, and is set to relocate from Paddington in the summer of 2028, the group added.

Canary Wharf Group, which runs the wider financial district and is co-owned by QIA and Canada's Brookfield, was hit hard by the pandemic-induced fall in office demand.

The area is now enjoying a rebound as more firms push staff to return to office, Reuters reported.

"Canary Wharf continues to attract a diverse range of global businesses. We are delighted to welcome Visa who have chosen the Wharf for their European headquarters as the best location to support their business growth," Shobi Khan, Canary Wharf Group CEO, said.

JPMorgan Chase last week unveiled a plan to build a tower in the Canary Wharf financial district that will contribute 9.9 billion pounds ($13.2 billion) over six years to the local economy - including the cost of construction - and create 7,800 jobs.

Qatar's sovereign wealth fund is revising plans for a revamp of its HSBC skyscraper in the east London district to retain more office space, Reuters reported in November.